EUR/USD heading to 1.0800 resistance, supported eyed at 1.0770

Prior to the Fed’s interest rate decision at 1400 ET/1800 GMT, the EUR/USD pair is seeing supply at the 1.08 barrier. Fed futures with implied inflation are pricing in a 25 basis point increase. The pair is trading at 1.0792 at the time of writing., up 0.25%.

The market will be concentrating on whether the dot plots are pricing in an easing of policy as the Fed is scheduled to release new economic estimates. The possibility exists that the market won’t experience the anticipated dovish hike. The USD should receive support as a result, and the EUR/USD1.08 barrier level should become stronger.

The price is on the reverse side of the bullish trend on the 4-hour charts, which is a negative sign. Nonetheless, the triple bottom and descending wedge are bullish:

For the near future, there will be prospects of a bullish continuation as long as the support structure maintains between 1.0700 and 1.0750/60.

Bulls will like to see a deceleration above the 78.6% Fibonacci retracement and in line with the neckline and trendline support if there are any pullbacks because the price is still on the front side of the positive dynamic trendline support.